FOMC Statement Pares Gold Drop

Gold and silver futures skidded, miners mostly followed

Weak data on U.S. hiring pushed gold down in early Wednesday trading, but the metal trimmed its losses after the Federal Reserve signaled that it could increase economic stimulus efforts this year.

In a statement issued at the conclusion of the Federal Open Markets Committee Meeting, officials said that bond-buying could rise this year. In previous months, Fed officials had suggested that the program might wind down by year’s end.

Gold futures for June delivery slumped 1.8% to $1,446.20 per ounce on Wednesday, according to CME Group. Gold traded as high as $1,477.40 and as low as $1,439.70. Gold bullion closed in London at $1,458, according to BullionVault.

Silver futures for June delivery dropped 3.6% to $23.32 per ounce. Wednesday’s high for silver was $24.31, while the low was $23.22.